Volkswagen Adding 100 US Dealerships by 2018

Volkswagen is planning to increase its presence in the U.S.

The German automaker is looking to add about 100 new dealerships in the U.S. by 2018 as part of the company’s growth strategy. Volkswagen currently has about 650 dealerships in the U.S. and will focus on expanding its dealer network where it currently lacks a presence. For the past two years, Volkswagen has struggled in the U.S. and the company is readying new products in hopes of reversing that trend including a new midsize crossover that is being previewed by the Cross Coupe GTE concept at the 2015 Detroit Auto Show.

2015 Detroit Auto Show Coverage

The production crossover is expected to arrive early 2017 while a redesigned, long-wheelbase Tiguan will come in the second quarter of 2017. Along with the crossover and SUV models, the company also is planning a redesigned Jetta for a late 2017 launch that will be followed by a new Passat in 2018.

According to Volkswagen CEO Michael Horn, “The U.S. market now is a key focus of the Volkswagen Group. It’s the most important market for us to get our further growth.” Other initiatives Horn outlined as part of rejuvenating the brand in the U.S. includes a new high-level board committee to make strategic decisions locally, a new engineering and development center at the company’s plant in Chattanooga, Tennessee and shortening the life cycle of its passenger cars to five years instead of seven.